The deal is among the largest government interventions in a U.S. company since the rescue of the auto industry after the 2008 financial crisis.

President Donald Trump said Friday that chipmaker Intel has agreed to give the United States government a 10% equity stake in the company, a historic government intervention. Trump said during a news conference that the deal came after negotiations with the CEO of Intel,

What Intel needs is external customers for its 14A manufacturing process - a tough ask, at least in the short term.

The Silicon Valley chipmaker’s journey from icon to a government project, with the sale of a 10 percent stake to the Trump administration, underlines how even the mightiest in tech can fall.

Intel shares were up about 6% on the day, adding to earlier gains after reports that President Trump is set to announce the U.S. government is taking a nearly 10% stake in troubled chipmaker. The investment would cap a two-week frenzy in Washington over the future of the company.

Intel (INTC) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock. Shares of this world's largest chipmaker have returned +1.

U.S. Treasury Secretary Scott Bessent on Tuesday said any U.S. investment in Intel would be aimed at helping the troubled chipmaker stabilize, as Commerce Secretary Howard Lutnick said the government wanted equity stakes in exchange for its support of semiconductor manufacturers.